Justin Madders

I thank the Chairman of the Select Committee for his question. We are aiming to work on this once the Bill has passed this stage, and consultation will take place in due course. I have to say that the chuntering from those on the Conservative Benches really shows how they fail to appreciate the power imbalance that there is in some workplaces and the exploitation and harassment that arise from that. Our measures on guaranteed hours, reasonable notice of shifts, and payment for short-notice cancellations seek to ensure that workers, often in fragmented sectors with little voice of their own, do not bear all the risk of uncertain demand. However, we recognise that there are cases where unions and employers, working together, may want to agree more tailored rights than the provisions allow, which would benefit both the workers and the employer given the unique context of that particular sector. Unions, businesses and trade associations have made a case for that flexibility in their meetings with us. We want to allow for that, while also providing a baseline for sectors where unionisation is uncommon or agreement cannot be reached. New clause 33 and associated amendments will allow employers and unions to collectively agree to modify or opt out of the zero-hours contract measures. Like the other workers covered by this part of the Bill, agency workers deserve a baseline of security and access to a contract that reflects their regular hours. Many agency workers have a preference for guaranteed hours, according to survey evidence. We know that 55% of agency workers requested a permanent contract with their hirer between January 2019 and September 2020, according to the Department for Business and Trade’s agency worker survey. We are keen not to see a wholesale shift from directly engaged workers to agency workers as a way for employers to avoid the zero-hours provisions in the Bill. New clause 32, new schedule 1 and associated amendments will narrow the broad power currently in the Bill and instead include provisions for similar rights to be extended to agency workers. Hirers, agencies and agency workers can then be clear where responsibilities will rest in relation to the new rights. These amendments reflect the call for clarity from stakeholders in their response to the Government’s public consultation on this issue. Given the important role that agency work plays in businesses and public services, we recognise the need to work with the recruitment sector, employers and trade unions to design detailed provisions for regulations that work—that is, regulations that achieve the policy objective of extending rights to agency workers without unintended consequences for employment agencies and hirers—and we will work on that in due course. The Government have also tabled amendments in relation to dismissal and redundancy practices. This Bill will help employers to raise standards in relation to these practices, so that the vast majority of businesses that do the right thing by their workers will no longer be undercut by those with low standards.